Things to be aware of while Bankrupt and after discharge

leahceri

Hi
I am filing on 31st March do I have to let my car insurance know?
Thanks

sizzler

only on re new:j

dojoman

sizzler wrote: »

only on re new:j

Not true, my policy had a clause about BR, so I had to let them know as soon as I was BR, best thing to do with any insurance is to check the policy wording.

Personally I don`t like the idea of this type of thread as it could put a lot of people off going BR. Since BR I have changed my utilities with no problems, also changed both my car and house insurance and both premiums are lower than before BR with both being paid by instalments. I think BR is such a personal experience that is it better to come on here and pick the various members minds and experiences.

sizzler

i did not:)

dojoman

That is what I mean sizzler, each BR is different

sizzler

thanks dojo i must have been lucky:j

dojoman

I frequent another website about BR and this was why I checked my policy!

http://www.bankruptcyhelp.org.uk/forum/topic.asp?TOPIC_ID=9416

WLITC

dojoman wrote: »

Personally I don`t like the idea of this type of thread as it could put a lot of people off going BR. Since BR I have changed my utilities with no problems, also changed both my car and house insurance and both premiums are lower than before BR with both being paid by instalments. I think BR is such a personal experience that is it better to come on here and pick the various members minds and experiences.

Fair enough, but the idea is not to scare people off and I don't think anything thats been discussed so far would do that. Things like the insurance are important. The last thing you would want is to have something happen (fire, theft, etc) and then find out your policy was invalid simply because to didn't tell them. As you said, doesn't mean the cost will go up. Same with renting/tenancy agreements. If someone does have a clause in their policy saying that tenants aren't allowed to be BR, then they need to be aware this. Forewarned is forearmed, IMHO.

philnicandamy

But as others have said NO two cases are the same in bankruptcy....I agree in theory with the idea but it'll never work sadly...no consistency see?

PSNautical

welshladinthecity wrote: »

I was thinking it might be useful to put together a list of things that may be problematic once someone is declared bankrupt. This isn't meant to scare people off, but just to make sure they are informed.

1) Obtaining credit. The most obvious one. Even after discharge, your BR will be on your credit file for a further 5 years (so 6 years in total).

cos thats the first thing we want to do just as we;ve been free'd of crippling debts

2) Renting - if you are renting through and agent, they will almost certainly credit check you and your bankruptcy status may cause you to get declined or you could be forced to pay up to six months rent in advance or have to provide a guarantor.

true. guarantors usually have to be family too... but , as were never going to not pay our rent, this isnt really a prob is it folks? :P

3) Mobile phone - once BR you wll most might likely have trouble getting approved for a pay monthly contract. However if you should be able to upgrade with your current provider without the need for a credit check.

Orange offered me a NEW contract the DAY of my bankruptcy, as i was calling them to inform them of it.. because they "didnt want to lose my custom"..pay and go deals are loads better these days, i dont even miss my contract and only pay 15 quid a month for a superb selection.


4) Insurance - You may have to pay a higher premium because you are bankrupt and becoming BR may invalidate a policy if you do not inform them.

Ive found aviva want me to pay the full years payment at once, but never refused to insure me... ive found more than are "bankrupt friendly"..


5) Hiring a car on holidays. Most car hire companies requre a credit card imprint or a large cash deposit as a guarantee, however you can get some prepaid credit cards that allow them to be used for car hire guarantee.

i had a little bit of bother with this, hiring a van to move home, as i didn't have a credit card, i had to enlist a friend, and immediately give them the money for it, so they dont get stung with interest payments.

6) Tenancy agreements - Some tenancy agreements stipulate that you can not be BR and becoming BR can invalidate your agreement and you may be forced to move out.


..check contract first, and discuss it with your landlord/agency.. if youve had YEARS of perfect tenancy, the chances are they wont mind IME

Can anyone think of any others?

hopefully insightful to others.